Only 21% were worried that the current economic downturn could lead to them losing their job, compared with 26% in 2009, and 46% felt current economic conditions would not lead to them losing their job, compared with 37% in 2009.
Employer confidence about job security and the negative impact of difficult economic conditions appears to have improved, but there remains significant concern about the UK economy’s ability to compete effectively in the longer term on a global scale.
While there was only a small rise in employers reporting a skills shortage (from 70% in 2009 to 72% in 2010), there was a large rise in the number of employers who said this skills shortage was having a detrimental impact on their business (from 50% in 2009 to 72% in 2010).
When asked specifically about the UK’s skills levels compared with international competitors the response was negative - 42% said the UK is already falling behind other countries. Looking at the longer term the respondents’ outlook is equally negative with half (50%) saying that if the UK’s skills level remains at its current level competing economies will have outstripped the UK by 2020.
Opinion on the ability of the UK’s education system to meet the needs of financial services showed improvement for the fourth year in a row, although opinion has only now reached a fairly even split as to whether new entrants have adequate skills or not. Those working in claims and the London Market expressed the biggest concerns.
Employers recognise the importance of professional qualifications with 86% believing that the demand will rise over the next five years and 75% thinking that the required level of qualification will be higher. This is borne out by attitudes towards investment in training and development, which showed an improvement.
In 2009 18% said they planned to reduce the investment in training and development, but in 2010 this dropped to 9%.
Chris Hanks, president of the CII, commented: “This survey clearly shows that our profession increasingly understands the commercial value of technical skills and professionalism – both now and in the longer term.”
